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1.

Calculate the acquisition rate of a bank in Italy if you know the target market of the credit card issuer
might have been two million office staffs. Acquisition was measured in terms of new credit cards
issued. The bank issued a total of 120,000 new credit cards.
Formula - Công thức

Acquisition rate (%) = 100 * Number of prospects acquired / Number of prospects targeted

Number of New Credit Cards Issued


Acquisition Rate=
Target Market ¿ ¿ ¿
 Target Market Size = 2,000,000 officers
 Number of New Credit Cards Issued = 120,000

400 , 000
Acquisition Rate=
5 , 000 , 000

So, the acquisition rate of ABC Bank is 0.08, or 8%.

2. Calculate the Average Inter-purchase Time (AIT) of a supermarket if customer buys, on average, 4
times at this supermarket during a month.

Formula – Công thức

Average inter-purchase time of a customer = 1 / Number of purchase incidences from the first purchase
till the current time period.

Time Period
AIT =
Number of Purchases
Number of purchases in a month = 4
Time period = 1 month (approximately 30 days)
Using days as the time period:
30 days
AIT = =7.5 days
4 purchases

3. Calculate the Remaining Customers after a period of 5 years, if the constant retention rate is 60%, and
in year 1 the company X can acquire 500 customers.

Formula – Công thức


 Rrt (%) = 100*Number of customers in cohort buying in (t) là năm cần tính | customer in (t-1) là thời
gian trước đó / Number of customers in cohort buying in (t-1)
Number of Years
Remaining Customers=Initial Customers ×( Retention Rate )
Given:
 Initial Customers = 500
 Retention Rate = 60% (or 0.6)
 Number of Years = 5
Substitute the given values into the formula:
5
Remaining Customers=500 ×(0.6) =38.88

4. Number of customers starting at the beginning of year 1 is 1,000. Computing the number of survivors.

Formula – Công thức


Retention rate of year (t) x survival rate of the year before (t-1) = Survival rate
Survivors = Survivors (t-1) x Rentention rate (t)

S
u
r
R v
et i
e v
nt a S
io l u
n R rv
R a iv
at t or
e e s

Y
e
a
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1 5

Y
e
a
r
0.
2 6

Y
e
a
r
0.
3 7

Y 0.
e 8
a
r

Y
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a
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0.
5 9

5. Compute the P (Active) (dùng để đo khả năng của KH có khả năng còn ở lại với mình) of each of the two
customers in the twelfth month of activity, where customer A bought five times within the first 8 out of the
observed 12 months and customer B bought only three times within the first 9 out of the last 12 months.
Formula – Công thức:

 P(Active) =
 Where: n = the number of purchases in a given period,
T = is the time of the last purchase (expressed as a fraction of the observation
period)
CHAPTER 5:
1. Calculate the acquisition rate of a bank in Italy if you know the target market of
the credit card issuer might have been two million office staffs. Acquisition was
measured in terms of new credit cards issued. The bank issued a total of 120,000
new credit cards.

Acquisition rate = 100* 120,000 / 2,000,000 = 6 %


1. Calculate the Average Inter-purchase Time (AIT) of a supermarket if a customer
buys, on average, 4 times at this supermarket during a month.

Average Inter-purchase Time of a customer = 1/4 = 0,25 month


→7.5days (lấy kết quả x với ngày trong 1 tháng)
2. Calculate the Remaining Customers after a period of 5 years, if the constant
retention rate is 60%, and in year 1 company X can acquire 500 customers.
Customers remaining at the end for year 2: 0.6 * 500
= 300
Customers remaining at the end for year 3: 0.6 * 300
= 180
Customers remaining at the end for year 4: 0.6 * 180
= 108
Customers remaining at the end for year 5: 0.6 * 108
= 64.8 ( 65 )
The effect for a cohort of customers over time-out of 500 customers who start in year
2, about 65 are left at the end of year 5
3. Number of customers starting at the beginning of year 1 is 1,000. Computing the
number of survivors.
Retention Rate Survival Rate Survivors
Year 1 0.5 0.5 500
Year 2 0.6 0.3 300
Year 3 0.7 0.21 210
Year 4 0.8 0.168 168
Year 5 0.9 0.1512 151.2

4. Compute the P (Active) of each of the two customers in the twelfth month of activity,
where customer A bought five times within the first 8 out of the observed 12 months
and customer B bought only three times within the first 9 out of the last 12 month.

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